Ankur Bhattacharya ; Kolkata, 17 February : The Securities and Exchange Board of india (SEBI) has recently come up with a regulation on ‘categorization and rationalization of mutual fund schemes’ with an eye to bring about uniformity in the functioning of Asset Management Companies, said G Mahalingam, Whole Time Director, SEBI.
Inaugurating the 13 th ICC Mutual Fund Summit, organised by the Indian Chamber of Commerce (ICC) here yesterday, Mahalingam said such a step was initiated so that the product offerings ‘look different from each other in terms of core characteristics like investment objective and asset allocation’.
This had also made it easier and helped the Investor to choose a scheme under a uniform valuation index for securities, to ensure consistency in valuation across the Mutual Fund Industry, Mahalingam said adding SEBI was also working on tightening of Risk Management guidelines for Mutual Funds in conjunction with Industry.
Also speaking on the occasion, N S Venkatesh , Chief Executive of the Association of Mutual Funds in India (AMFI) said the role of regulator like SEBI was to ensure that the hard earned money of investors was not wasted in losses for which strict norms were introduced to control the volatility and protect investor interests. The benefits of the economies of scale are passed down to the investor by AMCs.
According to Atanu Sen, Chairman, ICC National Expert Committee on BFSI and Former MD and CEO, SBI Life Insurance,the MF industry was presently booming and Artificial Intelligence should be used to predict the future growth of the industry and maintain growth momentum despite some hiccups in the form of debt crisis.